Tescos Pay At Pump System

[CaptainK 11]

I use internet banking and yesterday lunchtime I noticed a difference of a pound between my balance and available balance. However, there was no transaction for it yet. So I waited until the evening and checked again. Still no transaction, but there was a difference of two quid now.

 

Concerned it was some kind of fraud, I rang my bank today. Apparently "Pay at Pump" systems deduct £1 from your account when you enter your card & pin BEFORE you start to fill with petrol. Its to check your account is valid before you fill up. Then when you finish filling up it deducts however much your petrol cost and refunds you the £1 it deducted before. However, this refund transaction takes a while to process and doesn't show up on any of your statements as its all automated and hidden away from the customers eyes. Normally you would be oblivious to the way this system works.

 

I only noticed it because of internet banking and because myself and my partner had both used a Tescos Pat at Pump system recently (yesterday for her, I was on the 23rd).

 

So if any of you also use internet banking and get concerned that a random pound is missing, then if you use any Pay at Pump system (not necessarily Tescos one) then its possibly because of that. I only found it all out as I rang the bank helpline and they explained it all to me.

 

p.s. it was my first time using a "Pat at Pump" system as well. Normally I avoid them as I always go to my regular Shell petrol station (they don't have pay at pump) and chat with the completely crazy Irish bloke who runs it. Unfortunately it was closed that day.

 

EDIT: Oh and Sandy if you're watching, you might be interested to know that your creation (my 205) seems to run quite well on Tescos Momentum 99

Edited November 26, 2010 by CaptainK

[Anthony 1,003]

Often the Pay Pumps have a warning about this on them somewhere, most notably for Solo cards (IIRC) which pre-authorise something like £20

[Alan_M 66 1 Cars]

£1 to use the pay-at-pump service

 

Thieving gits......

[Rich_p 23]

£1 to use the pay-at-pump service

 

Thieving gits......

 

They don't charge you, it's just a pre approval thing, you get it back.

[jeremy 70]

It is called an earmark, and as said previously it is like a pre approval thing with regards to the card. It is not uncommon at all as almost all card transactions are earmarked then the funds physically taken from the bank several days later.

[Veero 1]

Yeah but think of the extra interest they earn on that £1 even if it's just for a few days. If (number plucked out the air) 5,000 people have this happen every few days that and they keep the pound for just 2-3 days, there must be a nice little nest egg building up somewhere. Robbing gits.

[CaptainK 11]

Yeah but think of the extra interest they earn on that £1 even if it's just for a few days. If (number plucked out the air) 5,000 people have this happen every few days that and they keep the pound for just 2-3 days, there must be a nice little nest egg building up somewhere. Robbing gits.

I was thinking the same thing !

[tri_longer 25]

I was thinking the same thing !

 

 

erm am I missing something, but you do actually owe them that £1 anyway as part of the overall bill

[CaptainK 11]

erm am I missing something, but you do actually owe them that £1 anyway as part of the overall bill

No, as I explained in my first post - its a pre-approval thing:

 

1) You enter card details into machine.

2) If it accepts your card it pre-authorises £1 from your bank to show the card is a working card

3) You then fill up

4) Machine debits <petrol cost> from your account

5) Machine refunds / cancels the pre-approval £1.

6) The preapproval £1 can take a while to process, thus I noticed it.

 

I should point out I don't think it actually takes a £1 from your actual money from your account at any time - it just pre-authorises a £1 and thus that £1 is not available as your "Available Balance". This gets remedied a couple of days later.

 

e.g. you have £450 in your account and you buy £50 of petrol. Your bank balance will say you have £400 left afterwards, BUT your AVAILABLE balance will show as £399. After a day or two this will correct itself back to £400 AVAILABLE balance.

Edited November 30, 2010 by CaptainK

[Stevo309 0]

Amazon do the same thing (or they used to). They only put through a transaction for £0.01 though.